Since 1973, Rhode Island Housing has been providing low-interest loans, grants, education and assistance to help Rhode Islanders find, rent, buy, build and keep a good home. Created by the General Assembly in 1973, Rhode Island Housing is a privately funded public purpose corporation and operates without any state funding. Together with its participating lenders, they work to ensure that all people who live and work in Rhode Island can afford a safe, healthy home that meets their needs. Homestar Mortgage has been a partner since 2006, and has consistently been the top Rhode Island lender since 2009. This week Rich and Steve were joined by Peter Pagonis, Lending Service Manager at RI Housing to talk about the great products available. The traditional programs are offered to people who live in Rhode Island with an income restriction of $102,000 per household, and they offer a suite of extra products that can help to offset down payment and closing costs.
- The FirstHomes line includes everything from Homebuyer Education and safe, low-interest loans to down-payment assistance and 100% financing. Their No Mortgage Insurance option for first-time homebuyers who qualify is an added lower-cost alternative.
- Beyond FirstHomesis a newer program for individuals or families who have already purchased their first home and are interested in either buying a new home or refinancing. They are a lower monthly cost alternative because they require No Mortgage Insurance and provide financing up to 97%.
- They also offer new programs without income restrictions offered only through the lender partners, these products aren't subject to new lending requirements under the new Qualifying Mortgage guidelines, and rely 100% on automated underwriting to assess risk of loan. These products don’t fit the traditional secondary market lending box and feature lower down payment requirements, higher debt to income ratios and lower credit scores to qualify.
